You need to apply directly to a card issuer, and approval depends on your credit history

A cash back credit card is a card that returns a percentage of what you spend back to you as cash or a statement credit. You get one by applying to a bank or credit card company — there is no central registry or government program. The issuer checks your credit report and credit score to decide whether to approve you and what interest rate and credit limit to offer.

If you have no credit history or a damaged one, you can still get a cash back card, but your options narrow and the rewards rate may be lower. The path forward depends on where your credit stands right now.

Key Takeaways

  • Cash back cards are issued by banks and credit card companies, not government agencies, and you apply directly to them online, by phone, or in person.
  • Your credit score and credit history are the main factors issuers use to decide approval and what terms they offer you.
  • If you have no credit history, a secured card or a card designed for people rebuilding credit can be a starting point toward a regular cash back card later.
  • The cash back rate, annual fee, and other terms vary widely between cards, so comparing a few options before you apply saves money over time.
  • Each application creates a small, temporary dip in your credit score, so applying to multiple cards in a short window is usually not worth it.

What credit score and history issuers are looking for

Card issuers pull your credit report from one or more of the three major credit bureaus — Equifax, Experian, and TransUnion — and calculate a credit score based on it. The score ranges from 300 to 850. Most cash back cards marketed to people with good credit require a score in the 670 to 750 range or higher, though this varies by issuer and card.

Your credit report shows your payment history, how much debt you currently carry, how long you have held accounts, and whether you have missed payments, been sent to collections, or filed for bankruptcy. Issuers weight recent history more heavily than old history. A missed payment from two years ago matters less than one from two months ago.

If your score is below 670 or you have no credit history at all, you will not be approved for most standard cash back cards. That does not mean you cannot get a cash back card — it means you may need to start with a different type of card first.

Starting with a secured card if you have little or no credit history

A secured credit card requires you to put down a cash deposit, usually between $200 and $2,500, which becomes your credit limit. You use the card like any other card, and the deposit sits in a bank account as collateral. After 6 to 18 months of on-time payments, the issuer may convert the card to a regular unsecured card and return your deposit, or you can close the card and take your deposit back.

Secured cards do not usually offer cash back rewards. Their purpose is to build or rebuild your credit history so that you can later move to a regular cash back card. The Discover Secured Card and the Capital One Secured Mastercard are two examples, though many banks offer secured cards. Check whether the issuer reports your payments to all three credit bureaus — this matters for building your score.

Once you have used a secured card responsibly for several months, you become a stronger candidate for a regular cash back card. You can apply to a cash back card designed for people rebuilding credit — these have lower rewards rates and may have annual fees, but they exist — or wait until your score climbs higher and apply to a standard card.

Cash back cards for people with fair or rebuilding credit

If your score is between 580 and 669, or if you have recent negative marks but are rebuilding, look for cards explicitly marketed to that range. The Discover it Secured Card and the Capital One Quicksilver One are examples of cards that offer cash back and are designed for people with fair credit. These cards typically offer a lower cash back rate — often 1% rather than 2% or higher — and may charge an annual fee of $39 to $99.

The tradeoff is real: you pay more in fees and earn less in rewards. But the benefit is also real: using the card responsibly and paying on time builds your credit score. After 6 to 12 months, you may be approved for a better card with no annual fee and a higher cash back rate.

Do not apply to multiple cards at once hoping one will approve you. Each application triggers a hard inquiry on your credit report, which lowers your score by a few points for a few months. Multiple inquiries in a short time can drop your score 10 to 20 points and signal to issuers that you are desperate for credit, which makes them less likely to approve you.

How to compare cash back cards before you apply

Once you know what tier of card you are likely to be approved for, spend 10 minutes comparing three to five options. Look at the cash back rate, the annual fee, and any sign-up bonuses. A card that pays 2% cash back with no annual fee is usually better than one that pays 1.5% and charges $95 a year, even if the second one has a $200 sign-up bonus.

Check whether the cash back rate is flat — the same on all purchases — or tiered, where you earn more on certain categories like groceries or gas. Flat-rate cards are simpler. Tiered cards can earn you more if you spend heavily in the bonus categories, but only if you remember which categories earn what.

Look at the issuer's website or a card comparison site like NerdWallet or The Points Guy to see the terms. Read the fine print on the sign-up bonus: some require you to spend $500 in the first three months, others $1,000 in the first six months. Only count a bonus if you are confident you will hit that spending threshold anyway.

The application process and what happens next

Most card applications happen online and take 5 to 10 minutes. You will need your Social Security number, your current income, your employment status, and your address. The issuer will ask whether you want the card mailed to your address or if you want to pick it up in a branch.

After you submit, you usually get a decision within minutes to a few days. If you are approved, the card arrives in the mail within 7 to 10 business days. If you are denied, the issuer sends you a letter explaining why — usually because your credit score was too low or your credit report showed recent missed payments. You can request a free copy of your credit report from AnnualCreditReport.com to see what the issuer saw.

Once the card arrives, activate it by calling the number on the back or using the issuer's app. Set up automatic payments or calendar reminders to pay your bill on time each month. On-time payments are the single biggest factor in building your credit score, and they are also how you avoid interest charges and late fees.

Using the card to build credit and earn rewards

Use the card for small, regular purchases — groceries, gas, a subscription you already pay for — and pay the full balance each month. This shows the issuer that you can handle credit responsibly and builds your credit score. You also avoid paying interest, which would eat into your cash back earnings.

Keep your credit utilization — the percentage of your credit limit that you are using — below 30%. If your limit is $500 and you carry a $200 balance, your utilization is 40%, which can lower your score. Paying down the balance before your statement closes helps.

After 6 to 12 months of on-time payments, your score will likely climb. At that point, you can apply for a better cash back card with a higher rewards rate or no annual fee. You do not have to close your first card — keeping it open helps your credit history and your average age of accounts, both of which help your score.

Frequently Asked Questions

Will applying for a cash back card hurt my credit score?

Yes, but only temporarily. The hard inquiry lowers your score by a few points for a few months. The bigger hit comes if you are approved and you carry a high balance, because that raises your credit utilization. Keeping your balance low or paying it off each month prevents this.

Can I get a cash back card if I have been denied before?

Yes. If you were denied because your score was too low, wait a few months, make on-time payments on any existing accounts, and try again. Your score will have climbed. If you were denied because of recent missed payments or collections, those marks fade over time — after two years they matter much less, and after seven years they fall off your report entirely.

What is the difference between cash back and points or miles?

Cash back is returned as money — either a statement credit or a check. Points and miles are returned as rewards you redeem for travel, merchandise, or other perks. Cash back is simpler and more flexible because you can use it however you want. Points and miles can be worth more if you redeem them strategically, but they are harder to understand and easier to waste.

Do I have to pay an annual fee for a cash back card?

No. Many cash back cards have no annual fee. Cards with annual fees usually offer higher cash back rates or sign-up bonuses that offset the fee. If you are rebuilding credit, a card with a small annual fee may be your only option at first, but as your score climbs, you can move to a no-fee card.

How long does it take to see cash back rewards?

Cash back usually appears as a statement credit or is deposited into your bank account once a month or once a quarter, depending on the card. Some cards let you redeem cash back immediately through their app. Check your card's terms to see when and how often rewards post.